Section 6: Interagency Agreements and Contracts

Authority

The Interagency Cooperation Act, Chapter 771 of the Government
Code, authorizes state agencies to contract with one another when
special or technical services are needed and internal resources are
not available to the agency needing the service. This act also provides
for the performing agency to be reimbursed by the receiving agency
for the actual cost of those services. For the reimbursement process,
refer to the
Financial Management
Policy Manual.

Interagency Exchanges of Less Than $50,000

Interagency exchanges of less than $50,000 are exempt from
the requirements of a written agreement or contract. Agencies involved
with this type of exchange may document the exchange with an informal
letter agreement. The division director or district engineer will
sign letter agreements. A sample letter agreement for interagency
exchanges of less than $50,000 is pictured below.

Interagency Exchanges of More Than $50,000

An interagency exchange of more than $50,000 requires a contract
and must be executed by the executive director or the director of
Research and Technology Implementation. These contracts would be
processed through Contract Services.